Durban, South Africa: The Fluorspar mining industry is poised for a significant resurgence due to growing global demand. Fluorspar, a vital mineral for various industrial applications, is experiencing increased interest, with Project Blue forecasting a 5.8% compound annual growth rate (CAGR) in acid spar demand from 2023 to 2034. This renewed demand is prompting the reevaluation and reactivation of previously closed and idle Fluorspar mines worldwide, including those in Italy, Germany, and Canada.

In line with this global trend, the dormant Fluorspar mining company in Keiyo South Sub County and Elgeyo Marakwet County, Kenya, will resume operations within six months after being inactive for nine years. The new investor, Fujax-Soy, is investing Ksh4.8 billion (US$35 million) in the project. Adhering to the Mining Act of 2016, the company will allocate 70% of royalties to the National Treasury, 20% to the County Government, and 10% to the local community.

Furthermore, the idled Kenya Fluorspar mine in Kimwarer is also set to resume operations within six months, earlier than anticipated, following a Ksh4.8 billion agreement in February between Soy Fluorspar (UK) Ltd, Fujax UK, Fujax East Africa, and the Kenyan Government. This 25-year lease deal, which includes compensation for the local community, allows the government to retain a 15% stake in the company. The mine, once the sole Fluorspar producer in Kenya, closed in 2016 due to low demand and prices. Located in the Kerio Valley, about 300km northwest of Nairobi, the site has faced issues with land compensation and ownership since its closure. Kenyan Fluorspar exports have dwindled, with only small amounts likely from illegal mining since 2021. The government has responded with measures to combat illegal mining, including deploying a 10-vehicle fleet for surveillance. At its peak, the Kimwarer mine produced over 100ktpy of acid spar, exporting to Germany, India, and Italy.

On the other hand, the domestic Fluorspar industry in China has been experiencing a challenging situation. The overall operating rate of enterprises has remained low, mainly due to ongoing tensions in upstream mining and the continuous phasing out of outdated mines. New mining projects have been facing significant hurdles in terms of mineral exploration. Additionally, recent national initiatives have been requiring the rectification of Fluorspar mines, with enterprises facing increasingly stringent safety and environmental regulations. Many mines have been undergoing safety hazard inspections, making operations even more difficult. The shortage of raw materials has been restricting the activity of Fluorspar enterprises, keeping the supply tight and preventing a decline in Fluorspar prices.